XPS Pensions Group is to acquire Kier Pensions Unit for £3.5m, in a bid to strengthen its administration offering.
Kier Pensions Unit provides third-party pension administration services to public sector clients, including approximately half of the police forces in the UK.
Keir CEO Haydn Mursell said: “We are delighted to announce to clients and employees that Kier Pensions Unit will be joining XPS as we look to focus on our core businesses in the future. We believe that XPS has the strength and expertise which will benefit both clients and employees.”
The acquisition adds to the continued growth of XPS’s market-leading pensions administration business, XPS Administration, and gives XPS, for the first time, a significant presence in the public sector third-party administration market, in addition to the group’s already strong presence in the market for private sector pension schemes.
The acquisition will add a number of important clients to XPS Pensions Group’s portfolio of ‘administration only’ schemes, taking the total number of members XPS administers above 800,000. In addition, 70 employees based in Middlesbrough will join the group.
Commenting, XPS Pensions Group co-CEO Paul Cuff said: “XPS is continuing to move towards our goal of becoming the clear differentiated alternative to the big three in the pensions consultancy sector.
“This acquisition strengthens our leading position in the pensions administration market and gives us a strong foothold in the public sector third-party administration market and enhances our regional presence. We look forward to providing our high-quality service to our new clients and welcoming our new colleagues to our group.”